Deutsche to be Fined for Energy-Trading Scheme

By

Rebecca Smith And

Christian Berthelsen

Jan. 21, 2013 4:09 p.m. ET

Federal officials are expected to slap a Deutsche Bank AG subsidiary with a $1.5-million penalty in coming days after concluding that its energy-trading arm extracted illicit profits from the California electricity marketplace in 2010.

The action, which people with knowledge of the case said could come as soon as Tuesday, is part of a larger crackdown by the Federal Energy Regulatory Commission targeting electricity-trading schemes...